United Arab Emirates,
The Economy
The United Arab Emirates has a highly industrialized economy that makes the country one of the most developed in the world, based on various socioeconomic indicators such as GDP per capita, energy consumption per capita, and the Human Development Index.
The GDP per capita is currently the 5th in the world and 3rd in the Middle East after Qatar and Kuwait as measured by the CIA World Factbook, or the 17th in the world as measured by the International Monetary Fund; while at $168 billion in 2006, with a small population of 4 million, the GDP of the UAE ranks second in the CCASG (after Saudi Arabia), third in the Middle East — North Africa (MENA) region (after Saudi Arabia and Iran), and 38th in the world (ahead of Malaysia).
There are various deviating estimates regarding the actual growth rate of the nation’s GDP. However, all available statistics indicate that the UAE currently has one of the fastest growing economies in the world. According to a recent report by the Ministry of Finance and Industry, real GDP rose by 35 percent in 2006 to $175 billion, compared with $130 billion in 2005. These figures would suggest that the UAE had the fastest growing real GDP in the world, between 2005 and 2006.
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Emirates Towers in Dubai.
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Although the United Arab Emirates is becoming less dependent on natural resources as a source of revenue, petroleum and natural gas exports still play an important role in the economy, especially in Abu Dhabi. A massive construction boom, an expanding manufacturing base, and a thriving services sector are helping the UAE diversify its economy. Nationwide, there is currently $350 billion worth of active construction projects.
Such projects include the Burj Dubai, which is slated to become the world's tallest building, Dubai World Central International Airport which, when completed, will be the most expensive airport ever built, and the three Palm Islands, the largest artificial islands in the world.
Other projects include the Dubai Mall which will become the world's largest shopping mall when completed, and a man-made archipelago called The World which seeks to increase Dubai's rapidly growing tourism industry. Also in the entertainment sector is the construction of Dubailand, which is expected to be twice the size of Disney World, and of Dubai Sports City which will not only provide homes for local sports teams but may be part of future Olympic bids.
The currency of the United Arab Emirates is the Emirati Dirham, exchanging at a rate of about 3.67 per US dollar. |
